WASHINGTON – The Justice Department today announced that it has reached an
agreement resolving a lawsuit against Chicago-based Covenant Retirement
Communities Inc. and its subsidiaries. The complaint alleged that this
nationwide provider of retirement housing violated the Fair Housing Act by
discriminating against residents based on disability.

According to the United States’ complaint, the defendants employed policies
that required residents who used motorized mobility aids (e.g., canes, walkers,
wheelchairs and scooters) to obtain personal liability insurance, demonstrate
their competence at operating the motorized aid, and provide physicians’
certifications of need. The defendants also barred residents and visitors from
using mobility aids in certain common areas, including dining rooms, and steered
persons with mobility impairments from independent living to assisted living.

“This agreement will ensure that residents with disabilities are not denied
equal access to their housing communities,” said Wan J. Kim, Assistant Attorney
General for the Civil Rights Division. “The Justice Department will continue
its vigorous enforcement of all the fair housing laws.”

The agreement, which must be approved by the U.S. District Court for the
Eastern District of California, dismantles those policies and calls for employee
training, a nondiscrimination policy, record keeping, and monitoring.
Additionally, defendants will establish a $530,000 settlement fund for persons
who may have been injured by their policies and pay each resident who was tested
$250 (and such additional damages as they may have suffered).

The case originated when a retired couple filed discrimination complaints with
the U.S. Department of Housing and Urban Development (HUD). HUD conducted an
investigation and referred the matter to the Justice Department.

Persons with disabilities who believe they may have been injured by the
violations at one of the facilities should call 1-800-896-7743, ext. 5 or see
http://www.usdoj.gov/crt/housing/notices.htm
to determine how they can file a claim for monetary damages.

The federal Fair Housing Act prohibits discrimination in housing based on race,
color, religion, national origin, sex, disability and familial status. Since
Jan. 1, 2001, the Justice Department’s Civil Rights Division has filed 230 cases
to enforce the Fair Housing Act, 105 of which have alleged discrimination based
on disability. More information about the Civil Rights Division and the laws it
enforces is available at http://www.usdoj.gov/crt. Individuals who
believe that they may have been victims of housing discrimination can call the
Housing Discrimination Tip Line (1-800-896-7743), email the Justice Department
at fairhousing@usdoj.gov, or contact the U.S. Department of Housing and Urban
Development at 1-800-669-9777.